Our in depth knowledge of the marine insurance market, at your entire service. We shall hear your needs, evaluate the risks and decide with you on the products as well as securities that best suit your requirements.

Faros Marine Services is a completely independent broking house and as such we are allowed to offer unbiased guidance drawn solely on the basis of vigorous analytical tasks we regularly perform. This is of particular relevance to the International Group of P&I Clubs, as their performance is not always accurately reflected in their ratings.

Having acquired a leading position in the market, Faros Marine Services are able to strike the perfect balance between cost and risk protection. We take pride of being at ease with the development and implementation of complex marine insurance transactions, which may include tailor made solutions, as much as we are with the odd placement.


P&I insurance covers third party liabilities arising from the operation of a vessel, such as cargo damage, crew injury, collision and pollution to name a few. This cover can be purchased by various markets on a mutual or fixed premium basis, albeit the majority of the global tonnage is covered through the 13 P&I Clubs consisting the International Group of P&I Clubs.

This is a separate class of cover provided to the members of the mutual P&I Clubs or purchased as a stand alone product through the open market and it caters for the costs of legal representation, assistance and advice on shipping related matters such as charterparty, sale and purchase, provision of bunkers and other disputes.

Arranged through the mutual P&I Clubs or the fixed premium market, this insurance is there to protect charterers from the liabilities to which they are exposed when fixing a vessel. The risks covered are typical P&I risks, including damage to the vessel’s hull arising from cargo operations or directions to the vessel for which the charterer is responsible.


True to its title, this insurance covers the physical (total or partial) loss or damage to the vessel’s hull and/or machinery. Various commonly used insurance conditions can be found in the market with the ITC, Nordic Plan and American Hull Clauses as the most popular.

Disbursement (Increased Value) and Freight Interest Insurances

Auxiliary to the Hull and Machinery insurance these covers operate in the event of a vessel’s total loss. Historically, the Increased Value policy would protect the shipowner against the difference between his vessel’s insured value and her actual market value. The Increased Value sum insured is now agreed and it offers an extra layer of compensation in case the vessel is lost. Similarly, the Freight Interest cover will reimburse the shipowner with an agreed amount for unrealized earnings.

Loss of Hire

Standard Coverage

Otherwise described as loss of income, this type of insurance is designed to protect the ship operator from potential loss of earnings resulting from the unemployment of his vessel. This may be caused by physical loss or damage to the vessel or prevention from trading due to say, port blockade. The cover is usually consequential to a Hull and Machinery claim.

Extended Coverage

This class of Loss of Hire insurance will protect against loss of earnings caused by perils not included in the standard form such as:

  • Piracy
  • Pollution
  • Illness or Personal Injury
  • Desertion or Detention of Crew
  • Stowaways

The exclusions afforded in the Hull and Machinery policy in the event of war related incidents are covered by the War Risks insurance. This type of insurance will typically include piracy risks, but not the payment of ransom, which is amongst others catered for by the so called Kidnap and Ransom (K&R) insurance.

We can arrange P&I and Marine Insurances separately or combined in a policy depending on the type of boat and risks involved.

This insurance compensates for physical loss or damage to goods whilst in transit, storage or custody. The Institute Cargo Clauses A, B and C together with the War and Strikes Clauses are the most popular conditions with the Cargo Clauses A having the effect of an all risks cover and Clauses B and C progressively covering less perils.

We can arrange P&I and Marine Insurances separately or combined in a policy depending on the type of boat and risks involved.

The kidnap and ransom cover includes ransom payments and expenses associated with arranging for a vessel and its crew to be released as well as loss of the vessel and personal accident cover.